BitCoin (BTC) is a point-to-point electronic currency system implemented by Satoshi Nakamoto based on cryptography distributed ledger technology.

In Internet trade, people used to rely on centralized financial institutions to complete the payment of an order. In this process, there are often many restrictions and data is not transparent, facing the risk of tampering. Bitcoin provides a decentralized electronic payment system through distributed ledger technology based on cryptography, realizing transparent and open transaction data storage, traceability and query. At the same time, anyone in the world can participate in it without any region or transaction amount limit.

To provide a decentralized, permissive payment system has long been expected by the public. Before the launch of Bitcoin, there were many different electronic money technologies and products in the world, the earliest origin comes from the issuer based "Ecash" protocol proposed by David Chom and Stefan Blanz. Then came the emergence of digital currencies based on "ecash" protocols, including Adam Baker's "Hashcash," Wei Dai's "B-Money," Nick Saab's "bit-Gold," And Hal Finney's "RPOW" developed on the "Hashcash" technology. In the past implementation, it is often difficult to solve the "Byzantine general problem", and the system faces the risk of centralization.

Bitcoin system solves the problem of consensus in distributed systems through Pow (Proof of work) algorithm, and the system security can be ensured by more than 51% honest computing power.

In distributed systems, the "Byzantine General problem" has always been difficult to be effectively solved. Bitcoin uses POW (Proof of work) for the first time to determine the consensus problem in the system. Miners by sha256 hash function to calculate the smaller than a certain number of leading zeros hash value, to compete for the rights of the packaging block after block is broadcast and verify, accumulative total six blocks to agree on a deal from the probability, after once you need to need to modify a transaction control in excess of 51% of the entire network to calculate force, that it's almost impossible to achieve in reality.

Fees: Bitcoin transfers require a certain amount of processing fees. Payment: Bitcoin, as the most valuable cryptocurrency in the cryptocurrency field, has many followers and is gradually playing the role of traditional currency as a medium of exchange of value. It's worth noting that Bitcoin has been declared legal tender in the Central American country of El Salvador with the same legal status as the U.S. dollar.

1.Ecdsa elliptic curve encryption algorithm to avoid the double flower problem. 2.Pow solves consensus problems in distributed systems. 3. Schnorr signature algorithm is used to replace Ecdsa in Taproot upgrade. Multiple signatures are aggregated into a single signature to optimize the verification and authentication process.

The world's first widely recognized decentralized electronic money system.

Proof-of-work algorithm solves the consensus problem in distributed system and asymmetric encryption avoids double flower attack.

Miners package transactions for blocks to complete the bitcoin offering.

Anonymous, decentralized, peer-to-peer electronic money system.

As the representative of the blockchain 1.0 era, bitcoin is designed to limit the uncontrolled use of the network. The Bitcoin stack virtual machine only supports the verification of transactions and is a non-Turing-complete blockchain. After the birth of Bitcoin, Ethereum, founded by Vitalik Buterin in 2004, launched turing-complete Ethereum virtual machine to make smart contracts possible, leading the new development direction of blockchain and gradually becoming its biggest competitor. Later in the bitcoin Taproot upgrade, the introduction of Taproot and Schnorr signature scheme laid the foundation for the emergence of Graftroot. Graftroot provides extended functions for Taproot to support private and efficient proxy scripts under Taproot conditions. The goal is to make trading and creating scripts more flexible to deal with more complex on-chain transactions. Enabling users to create more complex smart contracts significantly improves the availability of Bitcoin and opens the door to new on-chain capabilities for secure and transparent transactions, further increasing bitcoin's growth potential and competitive advantage.

Bitcoin is an amazing invention. The invention of a new kind of currency through a system programmed into a computer, which has been around for about a decade, is rapidly gaining popularity as a currency, and as a store of wealth, is an amazing achievement.

Bitcoin's emergence has been backed by entrepreneurs such as Paypal co-founder and billionaire venture capitalist Peter Thiel, who has said that "bitcoin critics have underestimated it... It's like a reserve form of money, it's like gold, it's just a reserve of value. You don't need it to pay." There is also opposition from bankers at traditional financial institutions. Bank of America CEO Brian Moynihan said, "There should be a serious perspective on the anonymous currency policy, because the ability to track money flows is a tool that we use to take terrorism seriously and to counter illicit and illegal behavior."

1. Bitcoin is highly decentralized, resulting in low Transactions Per Second (TPS) and easy network congestion. 2. Pow mining consumes a lot of energy and has been criticized by the government and environmentalists.

As the world's first decentralized electronic currency, Bitcoin has improved many disadvantages of traditional financial institutions. Leading the development of blockchain technology, it is a great innovation and social experiment.

Bitcoin, the most widely known cryptocurrency, is increasingly acting as a traditional currency, becoming digital gold.